2014-11-06T11:03:30-06:00 2013-12-31 420714325 MCGLADREY LLP 9737 WASHINGTONIAN BLVD 400 GAITHERSBURG MD 208787340 990 2013-01-01 522344655 RAILROAD RESEARCH FOUNDATION RAIL 2026392114 425 THIRD STREET SW NO 910 WASHINGTON DC 20024 JEFFREY D MARSH VICE PRESIDENT & TREASURER 2026392114 2014-11-06 1 WILLIAM E TURCO CPA P00369217 3012963600 2013 2015-11-30 17:44:51Z EDWARD HAMBERGER 425 THIRD STREET SW NO 910 WASHINGTON DC 20024 2339672 0 X WWW.RAILROADRESEARCH.ORG X 1999 DE THE RAILROAD RESEARCH FOUNDATION IS A PUBLIC CHARITY FORMED TO CONDUCT RAILROAD RELATED RESEARCH AND EDUCATION ACTIVITIES TO PROMOTE TRANSPORTATION SAFETY AND EFFICIENCY. 6 1 2 0 0 0 3712359 1403095 705880 936577 0 -1661 0 0 4418239 2338011 0 0 0 0 358893 135149 0 0 0 3856904 2340114 4215797 2475263 202442 -137252 974000 540064 752229 455545 221771 84519 X THE RAILROAD RESEARCH FOUNDATION IS A PUBLIC CHARITY FORMED TO CONDUCT RAILROAD RELATED RESEARCH AND EDUCATION ACTIVITIES TO PROMOTE TRANSPORTATION SAFETY AND EFFICIENCY. 0 0 769565 INTEROPERABLE TRAIN CONTROL PROGRAMS:THESE ARE COOPERATIVE AGREEMENTS BETWEEN THE FEDERAL RAILROAD ADMINISTRATION AND THE FOUNDATION THAT SUPPORTS THE DESIGN AND DEVELOPMENT OF AN INTEROPERABLE TRAIN CONTROL PROOF OF CONCEPT FOR POSITIVE TRAIN CONTROL. INTEROPERABLE SYSTEMS WILL ALLOW THE OPERATION OF AN EQUIPPED TRAIN ON ANY RAILROAD TO WORK WITHOUT HAVING EITHER MULTIPLE ONBOARD SYSTEMS OR HAVING TO SWAP OUT LOCOMOTIVES AT INTERCHANGE POINTS. 686832 693408 RCRMS LICENSE ACTIVITIES:GOVERNED BY LICENSING AGREEMENTS BETWEEN THE FOUNDATION AND THE SEVEN (7) CLASS I AND ONE (1) SHORTLINE RAILROADS, THE RCRMS FREIGHT RAILROAD RISK ASSESSMENT TOOL IS RECOGNIZED AS A KEY ENABLING TECHNOLOGY FOR THE RAILROAD INDUSTRY TO ASSIST IN ACCOMPLISHING THE RISK EVALUATION OBJECTIVES FOR COMPLIANCE WITH THE RAIL SAFETY IMPROVEMENT ACT OF 2008. THE FOUNDATION PROVIDES APPLICATION AND USER HOSTING, TECHNICAL SUPPORT CAPABILITIES AND DATA INTEGRATION. 229623 WIRELESS COMMUNICATIONS PROJECT:COOPERATIVE AGREEMENT BETWEEN THE FEDERAL RAILROAD ADMINISTRATION AND THE FOUNDATION. THIS PROGRAM WAS DESIGNED TO SUPPORT AN ONGOING PROJECT TO DEVELOP AND TEST COMMUNICATION-BASED TRAIN CONTROL AND WIRELESS COMMUNICATIONS SYSTEMS TO IMPROVE SAFETY IN THE RAILROAD INDUSTRY, INCLUDING THE DEVELOPMENT OF A COMMUNICATIONS AND TRAIN CONTROL TEST BED AT TTCI. 241723 RCRMS COE (NON-FEDERAL) 205444 RCRMS SHORTLINE CLASS II & III PROJECT - HTRAM 136877 NATIONAL JOINT TERRORISM TASK FORCE (NJTTF) 18263 PERSONAL ELECTRONIC DEVICE DISTRACTION MITIGATION PEER-TO-PEER PROJECT 7707 RAIL CAPACITY STUDY (NON-FEDERAL) 2520 CLEAN DIESEL FUNDING ASSISTANCE PROGRAM - REGION 6/LA 612534 2298554 1 1 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 1 0 0 0 0 0 1 0 0 0 1 7 0 1 2 1 0 0 0 0 0 0 0 0 0 0 X 6 1 1 0 0 0 0 0 0 1 0 0 0 1 1 1 1 1 1 0 0 0 X JEFFREY MARSH TREASURER 2026392118 425 THIRD STREET SW NO 910 WASHINGTON DC 20024 EDWARD R HAMBERGER PRESIDENT & DIRECTOR 1.00 39.00 X X 0 1702732 678358 JEFFREY D MARSH VP, TREASURER & DIRECTOR 4.00 36.00 X X 0 423629 117946 ROBERT C VANDERCLUTE VP & DIRECTOR 4.00 36.00 X X 0 424747 49392 PATRICIA M REILLY VP & DIRECTOR 1.00 39.00 X X 0 444263 55214 JOHN T GRAY VP & DIRECTOR 1.00 39.00 X X 0 525377 59803 LOU THOMPSON DIRECTOR 1.00 39.00 X 0 0 0 JANET L BARTELMAY CORPORATE SECRETARY 1.00 39.00 X 0 255317 134073 LOUIS P WARCHOT VP & GENERAL COUNSEL 1.00 39.00 X 0 539622 60216 MARK A MCROBERTS ASSISTANT TREASURER 4.00 36.00 X 0 201998 53968 SHARON COLE ASSISTANT SECRETARY 40.00 X 126208 0 0 KELLY FRENCH DONLEY ASSISTANT VP COMMUNICATIONS 1.00 39.00 X 0 215564 55823 126208 4733249 1264793 1 0 1 0 ABSG CONSULTING INC PO BOX 915094 DALLAS TX 753915094 PROGRAM SERVICES 859495 TRANSPORTATION TECHNOLOGY CENTER INC PO BOX 11130 PUEBLO CO 810010130 PROGRAM SERVICES 718750 COUNTERMEASURES ASSESSMENT & SECURITY EX 110 QUIGLEY BLVD NEW CASTLE DE 19720 PROGRAM SERVICES 181980 ARINC INCORPORATED 2551 RIVA RD ANNAPOLIS MD 21401 PROGRAM SERVICES 138283 NORFOLK SOUTHERN CORPORATION 3 COMMERCIAL PLACE NORFOLK VA 23510 PROGRAM SERVICES 121310 6 75000 1328095 1403095 RCRMS LICENSE FEES 900099 693408 693408 FEES FOR SERVICES 900099 243169 243169 936577 1661 -1661 -1661 -1661 2338011 936577 0 -1661 X 126800 82638 44162 8349 8349 59172 59172 1405449 1403924 1525 18402 18402 5569 5569 11700 11700 1460 1411 49 14027 14027 TTCI PROGRAM EXPENSES 718750 718750 AAR PROGRAM EXPENSES 105469 1150 104319 OTHER EXPENSES 116 116 ALLOCATED OVERHEAD 0 90681 -90681 2475263 2298554 176709 0 278118 303616 654666 213683 3188 425 43949 21609 38028 22340 974000 540064 415557 318411 336672 137134 752229 455545 X 221771 84519 221771 84519 974000 540064 -137252 0 X 0 1 X 1 1 1 X 7453427 7733617 6896200 3712359 1646264 27441867 7453427 7733617 6896200 3712359 1646264 27441867 4053932 23387935 27441867 1399288 0.85230 0.81440 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 200000 200000 200000 144000 144000 200000 200000 200000 200000 200000 43949 21609 22340 22340 DUE TO AFFILIATES 137134 137134 X 2345204 5532 5532 2339672 -1661 -1661 2338011 2482456 5532 1661 7193 2475263 0 2475263 PART V, LINE 4: TEMPORARILY RESTRICTED NET ASSET IS MADE UP OF A SERIES OF PLEDGES MADE BY ASSOCIATION OF AMERICAN RAILROADS. PART X, LINE 2: THE FOUNDATION IS A TAX-EXEMPT ORGANIZATION UNDER SECTION 501(C)(3) OF THE IRC. HOWEVER, INCOME FROM CERTAIN ACTIVITIES NOT DIRECTLY RELATED TO THE FOUNDATION'S TAX-EXEMPT PURPOSE IS SUBJECT TO TAXATION AS UNRELATED BUSINESS INCOME. THERE WAS NO UNRELATED BUSINESS INCOME FOR THE YEARS ENDED DECEMBER 31, 2013 OR 2012. THE FOUNDATION FOLLOWS THE CODIFICATION TOPIC, INCOME TAXES, WHICH ADDRESSES THE DETERMINATION OF WHETHER TAX BENEFITS CLAIMED OR EXPECTED TO BE CLAIMED ON A TAX RETURN SHOULD BE RECORDED IN THE FINANCIAL STATEMENTS. UNDER THIS GUIDANCE, THE FOUNDATION MAY RECOGNIZE THE TAX BENEFIT FROM AN UNCERTAIN TAX POSITION ONLY IF IT IS MORE LIKELY THAN NOT THAT THE TAX POSITION WILL BE SUSTAINED ON EXAMINATION BY TAXING AUTHORITIES, BASED ON THE TECHNICAL MERITS OF THE POSITION. THE TAX BENEFITS RECOGNIZED IN THE FINANCIAL STATEMENTS FROM SUCH A POSITION ARE MEASURED BASED ON THE LARGEST BENEFIT THAT HAS A GREATER THAN 50% LIKELIHOOD OF BEING REALIZED UPON ULTIMATE SETTLEMENT. THE GUIDANCE ON ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES ALSO ADDRESSES DE-RECOGNITION, CLASSIFICATION, INTEREST AND PENALTIES ON INCOME TAXES, AND ACCOUNTING IN INTERIM PERIODS. MANAGEMENT EVALUATED THE FOUNDATION'S TAX POSITIONS AND CONCLUDED THAT THE FOUNDATION HAS TAKEN NO UNCERTAIN TAX POSITIONS THAT REQUIRE ADJUSTMENT TO THE FINANCIAL STATEMENTS TO COMPLY WITH THE PROVISIONS OF THIS GUIDANCE. GENERALLY, THE FOUNDATION IS NO LONGER SUBJECT TO INCOME TAX EXAMINATIONS BY THE U.S. FEDERAL, STATE OR LOCAL TAX AUTHORITIES FOR YEARS BEFORE 2010. PART XI, LINE 4B - OTHER ADJUSTMENTS: LOSS ON DISPOSAL FIXED ASSETS REPORTED ON LINE 7C PART XII, LINE 2D - OTHER ADJUSTMENTS: LOSS ON DISPOSAL FIXED ASSETS REPORTED ON LINE 7C 1 1 0 0 0 0 0 0 0 EDWARD R HAMBERGER PRESIDENT & DIRECTOR 0 840733 0 848720 0 13279 0 622170 0 59096 0 2383998 0 0 JEFFREY D MARSH VP, TREASURER & DIRECTOR 0 279066 0 141892 0 2671 0 94325 0 30707 0 548661 0 0 ROBERT C VANDERCLUTE VP & DIRECTOR 0 275810 0 141098 0 7839 0 27456 0 28972 0 481175 0 0 PATRICIA M REILLY VP & DIRECTOR 0 291554 0 149521 0 3188 0 25776 0 37074 0 507113 0 0 JOHN T GRAY VP & DIRECTOR 0 366657 0 154230 0 4490 0 37867 0 29361 0 592605 0 0 JANET L BARTELMAY CORPORATE SECRETARY 0 193311 0 59245 0 2761 0 123183 0 15753 0 394253 0 0 LOUIS P WARCHOT VP & GENERAL COUNSEL 0 350408 0 179060 0 10154 0 30278 0 45574 0 615474 0 0 MARK A MCROBERTS ASSISTANT TREASURER 0 166333 0 33137 0 2528 0 42168 0 16431 0 260597 0 0 KELLY FRENCH DONLEY ASSISTANT VP COMMUNICATIONS 0 184344 0 29489 0 1731 0 28385 0 32267 0 276216 0 0 PART I, LINES 4A-B SHARON COLE RECEIVED A SEVERANCE PAYMENT IN THE AMOUNT OF $29,379. FOLLOWING INDIVIDUALS PARTICIPATE IN THE AAR SERP: EDWARD R. HAMBERGER - $570,168 JEFFREY D. MARSH - $65,420 JANET L. BARTELMAY - $59,540 PART II, COMPENSATION: THE RAILROAD RESEARCH FOUNDATION DOES NOT COMPENSATE OFFICERS OR DIRECTORS WITH THE EXCEPTION OF THE ASSISTANT SECRETARY. ALL COMPENSATION SHOWN IN PART VII OF THE FORM 990, AND SCHEDULE J, PAGE 2, PART II, IS PAID BY A RELATED ORGANIZATION OF THE FOUNDATION, THE ASSOCIATION OF AMERICAN RAILROADS. THE COMPENSATION DETERMINATION METHODOLOGY OF THE ASSOCIATION OF AMERICAN RAILROADS IS AS FOLLOWS: EXCEPT FOR ASSISTANT SECRETARY AND ONE DIRECTOR WITH NO REPORTABLE COMPENSATION, ALL RRF DIRECTORS AND OFFICERS ARE EMPLOYED BY THE ASSOCIATION OF AMERICAN RAILROADS (AAR). IN REGARD TO AAR EMPLOYED DIRECTORS AND OFFICERS, COMPARABILITY DATA IS PREPARED BY AN INDEPENDENT COMPENSATION CONSULTANT FOR AAR EXECUTIVE (CEO AND VICE PRESIDENTS) COMPENSATION. THAT INFORMATION IS PROVIDED ANNUALLY TO THE AAR'S GOVERNANCE COMMITTEE AS PART OF ITS ANNUAL BUDGET DELIBERATIONS. EXECUTIVE SALARIES ARE REVIEWED AND ANY MERIT ADJUSTMENTS FOR THAT FISCAL YEAR ARE DETERMINED AS PART OF THE ANNUAL BUDGETARY PROCESS. CONTEMPORANEOUS MINUTES OF AAR GOVERNANCE COMMITTEE MEETINGS ARE MAINTAINED. TRANSPORTATION TECHNOLOGY CENTER INC EDWARD HAMBERGER (BOARD MEMBER) AND JANET BARTELMAY (OFFICER) 718239 PROGRAM SERVICES 0 FORM 990, PART VI, SECTION A, LINE 2 EDWARD HAMBERGER AND JANET BARTELMAY - BUSINESS RELATIONSHIP FORM 990, PART VI, SECTION A, LINE 8B WHILE FORMAL MINUTES OF MANAGEMENT COMMITTEE MEETINGS ARE NOT RECORDED, ACTIONS TAKEN BY THE MANAGEMENT COMMITTEE ARE SUBSEQUENTLY PRESENTED IN WRITING TO THE BOARD OF DIRECTORS FOR RATIFICATION. FORM 990, PART VI, SECTION B, LINE 11 THE FORM 990 IS FIRST REVIEWED IN DETAIL BY THE ORGANIZATION'S PRESIDENT AND TREASURER PRIOR TO FILING. THEN A COPY OF THE 2013 RETURN IS MADE AVAILABLE TO EACH MEMBER OF THE ORGANIZATION'S CURRENT GOVERNING BODY. THE DIRECTORS ARE GIVEN AN OPPORTUNITY TO REVIEW, DISCUSS, AND ASK QUESTIONS BEFORE THE RETURN IS FILED WITH THE IRS. FORM 990, PART VI, SECTION B, LINE 12C THE ORGANIZATION'S CONFLICT OF INTEREST POLICY REQUIRES EMPLOYEES AND DIRECTORS, ON AN ONGOING BASIS, TO IMMEDIATELY REPORT ANY CONFLICT OR POTENTIAL CONFLICT. WHEN AN EMPLOYEE OR DIRECTOR REASONABLY BELIEVES THAT A CONFLICT OF INTEREST MAY EXIST OR APPEAR TO EXIST, THE EMPLOYEE OR DIRECTOR MUST PROMPTLY AND FULLY DISCLOSE THE CONFLICT, REFRAIN FROM PARTICIPATION IN THE MATTER UNTIL THE QUESTION IS RESOLVED, AND FOLLOW ANY DIRECTIONS GIVEN BY THE ORGANIZATION CONCERNING THE MATTER. FORM 990, PART VI, SECTION C, LINE 19 THE ORGANIZATION MAKES ITS GOVERNING DOCUMENTS AVAILABLE TO THE PUBLIC TO THE EXTENT REQUIRED BY LAW. FORM 990, PART IX, LINE 11G CONSULTING FEES & EXPENSES: PROGRAM SERVICE EXPENSES 1,403,924. MANAGEMENT AND GENERAL EXPENSES 1,525. FUNDRAISING EXPENSES 0. TOTAL EXPENSES 1,405,449. ASSOCIATION OF AMERICAN RAILROADS 425 THIRD ST SW STE 1000 WASHINGTON DC 20024 536000125 TRADE ASSOCIATION DC 501(C)(6) N/A 0 TRANSPORTATION TECHNOLOGY CENTER INC 55500 DOT ROAD PUEBLO CO 81001 841440384 RAILROAD SERVICES DE ASSOCIATION OF AMERICAN RAILROADS C 0 RAILINC CORPORATION 7001 WESTON PARKWAY STE 200 CARY NC 27513 522131600 DEVELOPMENT SVCS DE ASSOCIATION OF AMERICAN RAILROADS C 0 0 0 1 1 1 0 0 0 0 0 1 1 1 1 1 1 0 0 0 ASSOCIATION OF AMERICAN RAILROADS C 75000 COST ASSOCIATION OF AMERICAN RAILROADS L 243169 COST ASSOCIATION OF AMERICAN RAILROADS M 107082 COST TRANSPORTATION TECHNOLOGY CENTER INC M 718239 COST PART V, LINE 1D AND 1E: THE TRANSACTION CORRESPONDING WITH LINES 1D AND 1E INVOLVES AN UNSECURED LINE OF CREDIT WHICH WAS CO-SIGNED BY ORGANIZATIONS RELATED TO THE ASSOCIATION OF AMERICAN RAILROADS. THE $4 MILLION UNSECURED LINE OF CREDIT HAD AN ORIGINAL EXPIRATION DATE OF JULY 31, 2008 AND THE AGREEMENT WAS SUBSEQUENTLY RENEWED MOST RECENTLY DURING AUGUST, 2013, WITH A MATURITY DATE OF JULY 31, 2014. UNDER THE LINE OF CREDIT FACILITY, SUNTRUST BANK WILL ALLOW ADVANCES AT ANY TIME PROVIDED NO SIGNIFICANT DETERIORATION IN THE FINANCIAL CONDITION OF THE CO-BORROWERS HAS OCCURRED. AS OF DECEMBER 31, 2013, NO AMOUNTS HAD BEEN WITHDRAWN ON THE LINE OF CREDIT.